The Permanent Committee said:
“It is not permissible for Muslims to take part with the Hindu disbelievers in celebrating their festivals and religious occasions. One should neither show happiness and approval, nor congratulate them on such occasions. This is imitation of the enemies of Allah in their forbidden acts which are not in line with Islamic tenets. It also constitutes a sort of assisting them in sin and transgression, bringing them joy, flattering them, adding numbers to their gatherings [thus giving them significance], and giving them prestige. Allah, the Exalted states,
Help you one another in Al-Birr and At-Taqwâ (virtue, righteousness and piety); but do not help one another in sin and transgression. And fear Allâh. Verily, Allâh is Severe in punishment.
It is authentically narrated that the Prophet (peace be upon him) stated,
Anyone who imitates a people becomes one of them.
Narrated by Imam Ahmad in his Musnad (Hadith compilation) and Abu Dawud in his Sunan (Hadith compilations classified by jurisprudential themes).
May Allah grant us success. May peace and blessings be upon our Prophet Muhammad, his family, and Companions”.
Holi is one of those Hindu celebrations. So we as Muslims should not celebrate it in any form, whether it be throwing colored powder at one another, exchanging greetings on that day, or any other of their rituals.
And Allah Knows Best
Faisal Ibn Abdul Qaadir Ibn Hassan